For most of us, using credit is a part of our everyday lives–usually in the form of a mortgage, credit card, or car loan. We all have good intentions of using credit wisely, but unfortunately, we sometimes incur uncontrollable circumstances that may not allow us to honor our financial obligations as we originally planned.
Loss of job, death of a family member, divorce or even a natural disaster, could cause previously affordable payments to become significant financial problems.
If you’re having a hard time making ends meet, calling your creditors is probably the last thing you want to do. On the other hand, hiding from your creditors or avoiding the issue is definitely not a good idea.
A lot of people aren’t aware that creditors have several options to relieve their customers’ financial stress, but you’ll never know if you don’t take the time to speak with them directly. If you’re having problems, call your creditors and let them know what type of hardship you’re experiencing. There’s a possibility that they may be able to place you on an “internal” plan that could lower your interest rates and monthly payments for an extended period of time.
Most creditors are realistic and will try to work with you, especially when an unforeseen change of circumstances means you’re unable to make your minimum payments. They normally have a variety of ways in which they can help you deal with your unexpected crisis. Keep in mind, creditors would much rather retain your business rather than lose you to bankruptcy or foreclosure. Staying in contact with your creditors can also help you protect your credit rating, which is the most important factor in your ability to secure future loans.
Help is also available thru certified credit counseling agencies, such as Clearpoint Credit Counseling Solutions. Clearpoint can work with you and your creditors to help you regain financial stability.
Call 877.412.2227 (CCCS) to speak with a consumer credit counselor or get started now online.
Try our free Pay Down Debt calculator.